Exercise 16 5 Algo Indirect Cash Flows From Operating Activities Lo P2 Fitz Company Reports The Following Information 1 (16.86 KiB) Viewed 31 times
Use the indirect method to prepare the operating activities section of its statement of cash flows for the year ended December 31. (Amounts to be deducted should be indicated with a minus sign.)
Exercise 16 5 Algo Indirect Cash Flows From Operating Activities Lo P2 Fitz Company Reports The Following Information 2 (34.69 KiB) Viewed 31 times
Exercise 16-5 (Algo) Indirect: Cash flows from operating activities LO P2 Fitz Company reports the following information. Selected Annual Tricone Statement Data Not income 388.000 Accounts receivable decrease Selected Year-End Balance Sheet Data $ 146.000 Depreciation expense 46.000 Inventory decrease 46.500 Amortization expense 8.500 Prepaid expenses increase 5.900 Gain on sale of plant assets 7.200 Accounts payable decrease 8.900 Salaries payable increase 2.400 Use the indirect method to prepare the operating activities section of its statement of cash flows for the year ended December 31 (Amounts to be deducted should be indicated with a minus sign.)
$ 388,000 Answer is complete but not entirely correct. Statement of Cash Flows (partial) Cash flows from operating activities Net income Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Depreciation expense Amortization expense Increase in accounts receivable Changes in current operating assets and liabilities Decrease in inventory Increase in prepaid expenses Decrease in accounts payable Increase in salaries payable Decrease in salaries payable 46,000 8,500 (146,000) 46,500 (5.900) (8,900) 2.400 (2.400) x Net cash provided by operating activities 328,200
Join a community of subject matter experts. Register for FREE to view solutions, replies, and use search function. Request answer by replying!